While not expressing a lot of enthusiasm for the idea, Lake Forest’s City Council approved construction of a new Chase bank branch on Waukegan Road earlier this month.

At their April 2 meeting, council members signed off on a proposal that includes demolition of the existing building at 884 S. Waukegan Road, which until last year housed a McDonald’s fast food restaurant. In its place will be an approximately 3,600 square foot Chase bank branch that will include a one-lane drive-through ATM.

At a previous council meeting, some aldermen said they’d prefer another type of business in an area where there are already three banks, but they eventually agreed to the Chase proposal, which received unanimous support from both the city’s plan commission and building review board.

“While this is not as desirable to me as I would like, it certainly is acceptable,” said Ald. Jack Reisenberg, 3rd.

Aldermen approved the project in two parts, first on a 7-1 vote when they granted a special use permit that is required for banks in the B-1 neighborhood business district under the city’s zoning code.

Ald. Ray Buschmann, 4th, whose ward will be the new bank’s home, cast the lone “no” vote on that part of the proposal as he called for the city to re-examine planning for the business district and a look at the zoning code.

In separate action on April 2 that had already been planned, the council voted for a resolution directing the staff and plan commission to initiate an update of the city’s comprehensive plan.

In the second vote on the Chase bank, council members unanimously approved changes in the design for the bank suggested by the building review board.

Buschmann’s colleague Ald. Michelle Moreno, 4th, voted yes on both matters but said she had some reservations.

“I am very disappointed in us and I hope from a community development perspective we can get off the dime and do something that is appropriate for us, because this isn’t it,” Moreno said.

Community Development Director Catherine Czerniak said there are a variety of businesses in the area, ranging from office buildings to medical services.

“Sometimes we forget the strengths we have in Lake Forest,” Czerniak said. “There is a lot more than out there than you see at first blush.”

As part of the agreement, the building’s owner, Frank Mariani, said he will make a one-time payment of $150,000 to the city to offset the anticipated loss of sales-tax revenue, according to Czerniak.

“I think that is really generous,” Mariani said after the meeting, adding Chase signed a 20-year lease.

Mariani said he believed the new bank would make for a strong addition to the area.

“I think at the end of the day, this is a great thing for west Lake Forest,” he said. “I feel confident that the citizens will benefit from the decision tonight.”

The building is designed in way that it could be adapted to another use such as restaurants, professional buildings or retail businesses if Chase were to move out, according to Czerniak.

With the vote, there is no longer a threat of litigation, which was a subject of conversation at the January council meeting as some recalled the city’s losing legal battle against McDonald’s in the 1990s, which officials said eventually cost taxpayers $400,000.

Mariani did not answer directly whether there was a possibility of litigation in this case if the City Council had not agreed to the plan.

“We won so we didn’t have to worry about it,” he said.

Chase spokeswoman Christine Holevas said in an email after the meeting they hope to have the branch open by the end of the year, but that timeline would depend both on getting permits and the rest of the construction process.

The council approved the first reading of the proposal in January but held off on final approval until the plan was reviewed by the city’s legal committee and a meeting was held in which all council members were present.